Good evening, good afternoon.
How's everybody doing? Let's give it a moment as everyone startscoming in.
The mouse should be better this time, theaudio should be better, and everything should be great, everything should be great.
We'll give it a bit to let everybody in.
Just to let you guys know, once there is 1, 000people, it's going to become very difficult to get into this room.
We are now live on urbanforex.
com, and weare also live on YouTube so, welcome everybody, welcome.
How many of you guys are here for the veryfirst time? Is the audio okay? No, no it's not bourbon Andrew, this is justwater, just water.
I don't know if I can tilt my cup enough toshow you.
All right, welcome, welcome.
Okay, it looks like the audio and video isgood, audio and video is good.
All right, let me do this, let me get someof this stuff out of the way.
Boom, boom, boom, all right.
All right, okay, okay.
No kick today guys, no kick today.
All right, so first things first.
For those of you guys who do not know me, my name is Navin Prithyani.
I am the senior trader at forexwatchers.
com, I mentor and coach over at urbanforex.
com, and your host today at this live event.
I want to take a moment to thank all of youguys to come out here.
I know a lot of you guys have taken time offof your work or off of your busy schedule to be here.
Having said that, let's please respect thattime.
Turn off your cell phones, the dog goes intothe other room, the spouses go into to the other room.
I want you to focus We're here to talk about Fibonacci today.
It's an hour long event.
We're going to go straight into it, no nonsense, it's what we do every single time in all of our webinars.
We're going to make sure you learn somethingimmediately.
All right, now as we begin, where are allyou guys from? Where are you guys logging in from? Where are all of you guys from? I do see a lot of you guys saying it's yourfirst time.
Welcome, welcome Robert, welcome Pound.
All right, where are you guys from? Where are you guys from? Let's see it.
We got Australia, London, Italy, Dubai, Texas, Malaysia, Singapore, Denmark, Athens, North Carolina, South Africa, Netherlands, Honduras, Romania, Germany, Curaçao, Nigeria, Namibia.
Welcome, welcome guys, welcome.
Oman, Lesotho, Canada, Bangkok, Croatia.
All right, great, great.
I'm seeing some countries here I've neverseen before.
Some of you guys are in Hong Kong right now, great.
Nepal, all right, excellent, excellent.
We got all of you guys from all around theworld.
Again, thank you for being here.
It is now four minutes into the webinar, let'sdive straight into it, let's dive straight into it.
Today's hot topic is about Fibonacci.
Fibonacci is something that's very, very attractiveto many, many individuals, many, many individuals.
Let's start with the basic question.
What is Fibonacci? Is it some Italian pizza? Is it someone's last name? You know, someone from Italy? Basically Fibonacci is a dude who came upwith a mathematical sequence saying not many things can go in a straight line without retracing.
The laws of the universe follow a numericalpattern.
You'll see this in pineapples, you'll seethis in other walks of life, you'll see this in the universe.
In many different things, you'll see the worldreacts to a mathematical pattern over, and over, and over again.
That's the core basics of what is Fibonacci? The question comes to mind for many traderswho would like to have that extra spice.
You know how those people who go to gamblingand they're like, “I've brought my special doll with me, this doll gives me a good look.
” So, a lot of people enter the market of tradingthinking, is there something I can use right now to suddenly magically become the besttrader there is? Can I immediately use something so I can magicallybecome the best I can be magically? There is a mathematical sequence.
However, the question comes is, can we useit, and how? Can we use this and how? You can decide by the end of this webinar, is this Fibonacci tool going to be useful for you? I'm going to even give you a strategy on howyou can approach using it and what times you should not use it.
Two different things, two different things, all right? Having that said, so in a nutshell, basicallyFibonacci is saying nothing can go in a nonstop sequence without pulling back.
Sort of like Will Smith movies, right? You'll make great movies, great movies, greatmovies and then Hancock will come out and everyone's like, “Argh! Seriously?” Then he's back to the top again.
That little retracement comes back to a certainnumber of degrees of retracement before the market continues.
Having that said, we're going to see, doesthis mathematical sequence also apply to your trading and can you use it in your tradingon a day to day basis? So, let's get right into that.
I'm going to go ahead and shrink my head, okay? I'm going to shrink my head and I'm goingto give you the background here.
Let me move this down here, okay.
Okay, that should be pretty decent.
Now, you guys can still see my screen in thebackground and you can see my face and you can see the chat and everything? Let me change the size of this to a littlebit skinnier right there.
All right, welcome Agent Billy and Bob.
Always good to see you, Wicked Sunny.
As I go into this, as I get the chart readyfor you I want you guys to let me know, how many of you guys here are already MasteringPrice Action students? How many of you guys are already MasteringPrice Action students? Let's see that so I can know how many of youguys are absolutely new, versus how many of you guys are actually returning students.
Let me get this up for you here.
So, let's open up, let's say EURUSD and let'sget in a Fibonacci marker.
If you're using trading view, on your thirdicon down, you can click on this button there.
Wait, let me make the mouse bigger for youguys so you guys can see where I'm pointing at.
Okay, there's a ton of you guys from the MasteringPrice Action.
Some of you guys are all the way up at theelite level.
Okay, excellent, excellent.
Good to see you guys.
I need to get a poll up in here next timeso I can know the percentage of you guys, but good to see a lot of you guys are returning.
All right, here we go.
Let's have a look at this with the mouse.
Let me get the mouse up.
Accessibility, display, all right, there wego.
Look at that mouse.
So, if you're using trading view, your thirdicon down on your left toolbar, you will see something called Fibonacci retracement.
That's the tool you want to be able to use.
If I click on that, you're going to have tochoose a highest point in a downtrend, you're gonna have to choose a highest point and takeit down to your lowest point, and you will start to see the retracements accordingly.
Let's say if that's your highest point there, right here and that's your lowest point there, according to the rules of Fibonacci, you havea reactionary number at 23.
2%, 50% and 61.
Obviously this goes even further beyond ifyou take it out to 1.
618, it goes even further beyond that.
But generally speaking for retracements ifyou're doing trend trading, right? If you're doing trend pullback trading, thesenumbers are basically your best friends that you want to be looking at.
If you can see, the market in this particulardowntrend reacted from 38.
2%, and then it started to go back down.
Now wait a minute, this sounds so easy.
It's almost like, all right, so Navin, allyou're telling me is I have to draw this little rainbow cake on my screen and when we startgetting a couple of colors in we sell and then we go and buy the Ferrari? It's so simple.
My God, why couldn't I think of this before? Unfortunately, hold your horses.
This is how everybody gets trapped into Fibonacci.
I want to pull you out of that trap.
Okay, calm down, calm down.
Here's the thing okay, here's the thing, justlike anything else and in trading, yes the Fibonacci numbers work.
However, how you draw the Fibonaccis willmake the complete difference.
What if you were to say, I can see that themarket was holding, holding, holding, holding, holding, and this is just a faker.
That means this is my highest point, and thisis just a faker as well.
This seems to be my lowest point.
Ah, now you will draw your Fibonacci fromthat highest point to this lowest point.
Look at that, that means a retracement comesabsolutely perfectly to 50%, and then it reverses.
Whoa Navin, what is this magic you're doingon the screen over and over again? Yes, by coincidences, all of these numberskeep reacting, but the evolution of okay, how should I draw this? I know they work, I just am drawing it wrong.
How many of you guys here feel that you'vebeen victim to that as saying, “I know they work, but I just don't know how to draw itcorrectly.
I know they work, sometimes it's worked perfectlyfor me, but I just don't know exactly how to do it.
” How many of you guys have that experiencethat you've tried it, you understand what is Fibonacci, you understand that it's a mathematicallaw of the universe that the markets will react to it as well, but we just don't knowexactly how.
We just don't know exactly how.
Now, here's the next question, what if youhit yourself? Where do you put your stop loss.
That's the next question.
The dreadful question of, I know it's goingto react, I've seen it time and time again, I've seen Navin draw this colorful rainbowand in that rainbow, it always reacts from one of these universal numbers, one of theseuniversal numbers.
Let's have a look at another example for acase.
So now, how did I know to draw from here tohere? What about after that? Do I draw from here to here? Okay, let's do that.
If I draw from there to there, what do wegot here? Let me zoom in a bit.
8% exact reaction and it's turningaround.
Again, let me ask you a question, how comethis time it didn't go to 38.
2%, 50%? Why did it go to 61.
8%? What if you blindly hit the sell at 50%? How would you know? How would you know? But, it does react, and this is how many unfortunatepeople going into Fibonacci get stuck.
They look at how it reacts perfectly and theystart pursuing the Fibonacci career with no background to, how should I use this toolto assist me, not give me the final verdict of hit the cell, hit the buy? Does that make sense? Does that make sense? Let's see some of these things you guys aresaying? Bongumusa you're saying, “I never ever triedit.
I am curious.
I'm like a curious dog trying to find outwhat's going on with this indicator.
” Pippy Monster you're saying, “Ryan Ang, Iknow things need to be learned but I want to know so I don't waste my time.
” Okay, okay.
Chi you're saying, “I tried, I know, but Idon't use it.
” Okay, and Pound is saying, “I dislike it now.
” Fair enough, fair enough.
Let's take it a step further.
Now, you've reached a situation where youare now watching the markets here.
You're watching the markets here, and I'mgoing to squeeze the market right there.
You're going to say, “Hmm, the markets wentdown from this highest point to either this lowest point, thereabouts.
” What happens when you draw that? Right now I'm just giving you the problems, problems, problems.
I want you to focus on the problems not on, look at how much money I could've made if I hit it up to 50%.
Look at how much money I could've made ifI hit it at the 61.
That is a trap, be careful.
If you draw it from here, this top price tothis lowest price and then I extend it out, and then I extend it out like that, how wouldyou know to hit it for a sell either here, or here, or wait for this price? How would you know, and where would you putyour stop loss? It reacts from all those areas, but wherewould you put your stop loss? That's a constant stop loss over and overagain if you're mentally thinking, I need to sell, I need to sell, I need to sell.
So, we've gone 15 minutes into the webinar.
You understand now what is Fibonacci, youunderstand now why everybody is attracted to Fibonacci.
Everyone's attracted to Fibonacci, becausethey can see the market react from these wonderful special numbers.
Now the question is, how do you make moneyfrom it? That's the bottom line.
If you ignore that bottom line and you say, “Yes, but it's a mathematical sequence and the world has to follow the sequence, ” yes, how do you make money from it? If you can make money from it, hey, physicssays so many things.
What's your point getting into the Forex marketand just wasting your time? You need to really dig deeper and be like, “What is in this for me? How can I use this information to make a profit, to turn a profit? All right, so, everyone with me up until thispoint? We have a wonderful tool that comes with adouble edged sword of that dilemma of when? I am not sure.
How? I'm not sure.
Stop Loss? I am not sure.
Now, there's tons of strategies on the internetthat will tell you, you need to draw one Fibonacci this way, the other one Fibonacci the otherway, and then another Fibonacci this way and when you have 30 Fibonaccis on your screen, you have been better informed.
You don't want to do that.
You don't want to do that.
You don't want to do that, it's only goingto confuse you more because everything will look like it's working but in reality, youaren't able to extract profits from it.
That's a problem, that's a huge problem.
Now, let's get into it.
Let's get into it.
Okay, let's get into it.
Before you use your Fibonacci, you need tounderstand the elements that move a market, okay? You need to understand the elements that movethe market.
So, what we're going to do is I'm going towalk you through a little bit of price action and with that price action, you can then bringin your tool of Fibonacci and be like, “Ah, it all makes sense now.
Now I can see how I can better use this.
” I'm going to give a little bit of education, at the same time it's going to be like a strategy where you can use your love for Fibonaccifor this.
I'm not saying you have to throw it away, I'm not saying you can completely disregard it.
You can use it, but let's be a little bitsmarter about it with it.
You don't need to ignore it.
It's beautiful, it looks nice, let's be alittle bit smarter about it.
It's taken a lot of money from a lot of students, it's time you rectify that, it's time you rectify that.
We'll continue to look at this chart sinceyou guys are already aware with this.
We can switch charts to another chart in alittle bit and we can choose any other pair.
This is the live markets right now, so let'stake a look at this in different scenarios.
A couple things, you always want to be awareof few factors.
One is, how do you know what is your top? How do you know what is your bottom? This is very important, very, very important.
If you don't know your top and you don't knowyour bottom, you don't know how to draw.
You don't know how to draw Fibonacci.
You will be drawing at random wrong places.
I'm going to give you the biggest secret oftrading today.
As always, there's always wonderful informationon webinars, and then there's one gold mine in there.
Okay, you guys ready for this? You need to love ranges.
Let me repeat, you must love ranges.
One more time, you must love ranges.
Let me show you, let me show you.
Ranges, whenever you have a sideways movement, whenever you have a sideways movement, that is a sign of a larger player building up hispositions piece by piece, piece by piece, piece by piece.
If everybody, look at this market here.
If everybody is looking at this market righthere, what do you think is going on to people's mind? All the MAs, which is moving averages, they'regoing up.
All the systems, they're going up.
All the divergences and everything, they'regoing up.
Every Tom, Dick and Harry on the planet issaying, “Well, the market's in an uptrend, ” and the trend is your friend, and you go keepgoing, never swim against the wave.
So, everyone just gets on to the buy, andthe buy, and the buy, and the buy.
Now, here comes the issue.
Along the way when you're doing your buys, things start to slow down, things start to slow down.
You never have an uptrend that will immediatelyturn into a downtrend.
It needs to transition, it needs to transition.
Think of it like, if I don't have my rainbow, the arch, the market cannot turn into a pyramid.
It will not turn into a pyramid.
It needs that arch to turn the market.
So far, so good? Everyone with me so far? I'm going to explain it.
Right now you're understanding the theory, I'm going to show you on the charts.
Prasad you're saying, “Sorry for the delay.
” You're late to the webinar? No, I'm just kidding.
It's okay, welcome.
It's all recorded as well, so it's going tobe available for you to watch even when the recording is over, don't worry.
So, things need to go sideways.
Whether you call it a range, you call it arollover, you call it a consolidation.
Whatever word you want to call it or whateverword your guru or mentor might've given to you, you're looking for some kind of sidewaysaction, sideways action.
All right, now here we go.
To understand the top of the market, you mustunderstand where the sideways action is.
Once you get that sideways action, you canthen determine the movement of the markets to a certain way.
However, here's the idea, the market goesup .
Always draw your extremes.
I'm going to give you a quick hack, draw yourextremes.
He goes up from here to here, draw it there, then it goes sideways.
Then he breaks it, draw it, then he cannotbreak it, it's fake.
He's still going sideways.
Remember, he came from down here.
Don't get panicked by these big red bars, it's still in the buy, it's still in the buy, keep going.
Then he gets up to here, makes a brand newhigh, turns.
He started the movement from here this time.
It's still in the buy.
Don't forget, it's still in the buy.
He starts coming down.
Don't forget, it's still in the buy, it'sstill in the buy, it's still in the buy.
And then he crosses it, and now it turns themarket.
Only now it turns the market.
You're looking for that transitional period.
If it goes below that and there was no transition, no sideways action, the market didn't create a top.
The market didn't create a top.
Let's slow it down a little bit so you guyscan understand.
I know there's a lot of information I've justthrown at you and a lot of it's like .
and you're like, “I have no idea what this brownguy on the screen just said.
He just said something about a line and atransition, and that supposedly that's the best thing on the planet.
” Let's slow it down, let's slow it down.
All right, since this moment when the buyerswent up, were they able to make a higher high? No, but did they make a lower low from thatpoint? No.
This is your transitional period.
You cannot look at these minuscule areas andsaying, “Oh, but that's a higher high, oh, that's a lower low.
” You get into that trap, you're done for.
You need to look at extreme areas that hold, and then the markets just play within that hold, within that hold.
You want to make sure you grab that hold area.
You want to understand, where is that holdhappening? That hold, when that turns, it tells you itput in the top? Same thing, the markets are going down, down, down, down, down, down, down, down, down, look at how fast he comes up.
That's not your bottom, that is not your bottom.
Where's your transitional period? It's too fast, it's too fast.
The markets do not turn from triangles, eitherthis way or that way.
They need that rainbow looking arch.
If you have to remember this, it's not a notthis, it's more this, okay? No sharp edges, smooth it out, smooth it out.
Sharp edges attract gamblers.
Something happens quickly, all the gamblersjump in, “Oh my god, oh my god, oh my god.
” So, think about it.
If you have this emotional feeling of, “Igot to get in, I got to get in, I got to get in, ” it's moving so fast, then it must bea dangerous place get in because a lot of people are losing money that way.
So, the opposite must be true, than in a calmmarket where it's going sideways, it must be the safest thing to do.
But it's boring.
It's sideways, it's boring.
Unfortunately, that's where the money is, that's where the money is.
You cannot ignore the sideways action.
If you ignore the sideways action, I can promiseyou any mentor you follow that tells you, “Do not worry about ranges, ignore ranges, “I can tell you right now, you will fail.
I will promise you right now, you will fail.
Be very careful, be very careful.
All right now, once you know this is yourtop area here, now we're looking for, yeah, but this is not our bottom because we didn'thave a transitional period, so where's my bottom? Where is my boss? It sounds like I'm saying, “Where's my ass, “right around here.
So, where is my bottom part of this downtrend? It keeps going down, down, down, down, so.
Extreme areas, let's do this.
He pulled back up here, he held, but it'ssuch so tiny pieces, such a tiny pullback.
Give me pullback, there we go, we got a hold.
We got a hold and since then, no lower low, no higher high above that area.
And, this is the lowest point since then.
You must mark this area and be like, “No higherhigh, no lower low.
It's putting in a bottom, it's putting ina bottom.
” It's putting in the bottom.
Now, as we're watching this thing, he is nowstarting to go down a bit trying to make lower lows, and then sideways, sideways, sideways, sideways, sideways, sideways, sideways, sideways, sideways, sideways.
You have now put in your bottom.
You have your upper point here, you have yourlower point here.
How many of you guys knew how to draw Fibonaccisbefore today? And, how many you guys had an aha moment evenif you don't use Fibonaccis and you're like, “Ah, I didn't know that, that that's the bottomand not this one.
” You will have to get good at learning wherethe turns happen in the market.
If you don't know where the turns are happeningin the market, everything you're going to do is nothing but a guess.
And when you're guessing, your emotions willbe so high in each trade and you're going to start thinking, “I have a problem withmy psychology, I have a problem with my psychology.
Let's read all the psychological books thereis to read.
” You don't need to fix your psychology, youneed to fix how you read the market.
If you fix how you read the market, your psychologywill calm down because you'll know what you're doing.
Yes or no, do you guys agree or not? You can't keep blaming it on your psychologyover and over again.
Your brain just does what you tell it to do.
Okay, all right.
Okay, there we go.
Some of you guys got some aha moments.
Okay, all right, good, good.
Now, let's get in a little bit deeper, a littlebit deeper.
We're going to go through more examples, don'tworry, don't worry.
It's not going to be confusing, we're goingto more examples.
To do this well, you got to be a little bitbetter with your price action.
If you don't have a price action background, it becomes very, very difficult, because then you're working with a system and when youwork with a system, you're at the mercy of mathematics, which means it is a numbers gamefor you going forward.
And if it's a numbers game, you cannot haveemotions at all.
That's why all these people who are tradingautomatic robots are getting more and more attractiveness to it because people are saying, “But it removes my emotion.
” If you're a trader and you want to trade, you need to fix your price action read.
That's the damaging piece that's missing witha lot of students, it's missing with a lot of students.
So, let's go into this, let's go into this.
I see a question here saying, what is priceaction? Price action is, you're just simply readingthe price as it's going down and you're trying to understand what the players are tryingto tell you, what the players are trying to tell you.
Then you determine what you should do accordingly, not forcing the market to do what you want it to do because it can't.
It doesn't know what you're thinking, so youcan't force it.
All you can do is adapt to it.
Does that make sense? You can't just draw a line and expect themarket to react from that little, you need to observe what happens around that line.
What do you do once it reaches that line? What happens there? You can't blindly hit a sell, you can't blindlyhit a buy, you need to see what happens there.
You see what I mean? So limit orders, stop orders, sell ordersout the window, boom.
You can only go about this with the idea of, I know what's happening, I know what's happening.
Then you can do a limit order because you'relike, “I just need one little extra push, ” one little extra push.
Okay, going back to price action and drawingyour Fibonaccis here.
Now that you know your highs and your lows, so you're like, “Okay Navin, let's say I understand.
You're telling me that this is the high, andthat's my low down there.
” Okay, now I have an area of 23% here, I havean area of 38% here, I have an area of 50% here, and 61.
I'm going to remove the Fibonacci, and I'mgoing to ask you a question now.
So, you got your lines, what now? What now? Do we put a sell order here? The moment it touches this we just blindlysell it? And then we put our stop loss where? Maybe above this purple line, sounds logical.
Or, should I sell it here? Or, here's what we're going to do, we're goingto do a mathematical formula.
We're going to sell a little bit here.
If that fails, we're going to sell more here.
If that fails, we're going to sell more here.
You know what, just donate your money.
Go to the nearest donation center, just giveyour money there.
You'll help somebody and it'll be for a goodcause.
You know what I mean? You got to be careful with these things.
You got to think one more step ahead.
If you're going to be in this market and expectto earn more money than doctors and lawyers combined, you can't do a little bit more work? But the problem is not the work.
Everyone here I'm sure is willing to do thework.
The problem is the knowledge and educationis all wrong.
Do you guys agree? I don't think a single one of you guys inhere is not willing to put in the work.
You guys are here in a webinar willing tosit through an hour long webinar to learn more, and God knows how many other webinarsyou have seen before approaching to this one.
You guys are looking to take it another stepfurther so the work is there, the education quality is not there.
Let's fix that, let's fix that.
All right, so let's have a look at this, let'shave a look at this.
Now you're looking at this as prices are goingup.
Price action teaches you one thing, you wantto remember one thing here.
You have all these lines here, you have allthese lines here.
Prices went down from here.
Listen very carefully.
What I'm about to tell you is a golden goose, okay? I don't know how else to get your attentionhere.
This is the secret formula to life, this isthe golden cup.
Listen carefully, listen carefully.
Prices start to go down from here, they reachthis lowest point, and then they pull back.
I want to ask you one question, since thatprice, do we have a lower low? Do we have a lower low? All of you guys saying, “No, we do not havea lower low.
” That means the larger player, now I'm goingto bring you to a little bit of logic.
I want you to use your brains a little bitfor this, and I'm going to guide you through it.
Over here, there are buyers.
Remember the whole public, everybody, everyTom, Dick and Harry was buying, they're buying, they're buying, they're buying, and then thebig boys step in and they quietly take all the buy orders, they sell.
They take the buy order, they sell to them.
Whoever wants to buy at this expensive price, the larger players are like, “Oh, good, good, good, very nice.
Sell it to them, sell it to them, sell itto them.
” But the big boy does not play with one minilot.
He does not play with one standard lot.
He does not play with a small hundred standardlots, he plays with something much, much bigger.
So, if everybody is buying mini lots, andmicro lots, and standard lots and all this stuff along the way to the upside, can hehit $1 billion for a sell all at one shot? Answer that question.
Can he hit $1 billion for a sell in a singlego? If he does that, it will offset the marketbecause the buyers might only be 100 million.
If the buyers are 100 million and the sellersare 1 billion, it will do this, it will offset the market, it will slide away.
And the further the market slides away, thebigger the loss of the larger player.
You and I make money on these nice movements, right? You and I, we make money on these nice movements, the big boy doesn't.
The big boy loses money on these movementsbecause he didn't fill in his orders and the prices are slipping away, and now people arewilling to buy at this crappy price down here.
That's bad business for him.
That's really bad business for him.
So, he will stop the selling.
Once he stops the selling, the buyers comeback.
They were saying, “Oh, there's not enoughsupply.
There's no one selling iPhones anymore atsuch a low rate.
Okay, well I'll pay $10 more, can I get it?” The next guy will say, “No, I'll pay $10 morethan him.
Can I get it?” And the big boys starts feeling the marketand saying, “Where's the next level that they're willing to buy until? Where's the next level they're willing tobuy until it gets up to here?” Does the big boy hit his half billion dollarsor $900 million and he sells again, does it come crashing down and make new lows? Is he bleeding? Is he bleeding? No.
If he's not bleeding, understand one questionand one theory.
This highest price when it pulled back couldnot make a lower low.
That means, that price was not good enoughfor the larger player.
That means, that price was not good enoughfor the larger player.
He needs a better price to sell from whichmeans whatever the Fibonacci says, you're only going to get a decent trade out of thisabove this price, above that price.
That means you and I just by knowing thisinformation we said, “Screw that line, we don't care.
Screw this line, we don't care.
Screw this line, we don't care.
We will only monitor this line and beyond.
” We just eliminated all the nonsenses alongthe way that looked like a beautiful area that all Fibonacci people start salivatingover.
Let them salivate.
You guys are with Urbanforex, you guys needto be a little bit better.
Do not be part of that 95%, you got to bea little bit better, you got to be a little bit smarter.
Don't just have anyone just selling you anindicator and saying, “This is how you draw it, good luck.
” No, come on man.
You guys are better than that.
You guys are way better than that.
Looks like there's some aha moments comingin.
How many of you guys are starting to understandthis and are taking it a step further like, “Oh my goodness, I can't believe I've beenwasting years and years without even knowing this little price action hack.
” Your Fibonacci, you can still use it, butI just eliminated a bunch of your Fibonacci numbers for you using that logic.
Does that make sense? Some of you guys had aha moments today, hadsome breakthroughs? Chris Sayers, you're saying, “One more timeon the final part.
” Okay, we'll explain it really quick one moretime, then we'll move on to the next example.
So, here we go, here we go.
We had our Fibonacci lines.
Let me get rid of all these things.
I'll explain it very slowly, very carefully.
Okay, let's get rid of all these brushes.
And, let's get rid of the volume on the bottom.
Keep it nice and clean, and all we have leftis our Fibonacci lines.
Now the question comes is, you and I rightnow, we know how to draw the Fibonacci, we know how to draw the Fibonacci.
Done, because we know how to pick the top, we know how to pick the bottom.
The drawing part is now solved.
That's a big issue for many folks, trust me.
The drawing part is now solved.
You need your ranges to know your top, youneed your ranges to know your bottom.
No ranges, it's not the bottom or it's notthe top.
You know that now.
Next question is, once you draw it from topor bottom, the question comes is, which retracement can I use to trade from? Which retracement can I use to trade from? How can I know what to do? Without even going into the technical detailsof price action, a quick hack will tell you that when he went down and he stopped here, he was going down from this price.
We know he put in the top there.
Whatever top you pick, he went down full speeddown, down, down, down, down, down, down, and he put in this low here.
And since that low, not the bottom, that low, if I put my line straight across, prices have not gone lower low.
That means the big boy who was bleeding fromthis move, he's still around.
He's still around and he's trying to feelthe market and saying, “Come on people, buy at a higher price.
Otherwise, I am not willing to sell to youat a very, very low price.
It's not happening, I'm sorry.
” He tried selling some pieces here, came allthe way down and he felt more buyers are there, which means he didn't sell aggressively.
It just slid away from him.
He didn't sell aggressively, which means thishighest price was not good enough for him.
Who makes the conditions in the market, thelarger player or the market? If you guys are thinking logically in thisworld, it's always going to be the larger player that will set the tone.
We can sit here and cry about it and cribabout it and go march on the streets for socialism and all this stuff.
Reality is, you need to understand that thereis a larger player behind this who is looking at prices in a different way than we are.
This price was not good enough for him tomake the price continue to go to the sell side.
It's not good enough for him.
That means we need a price at least, at leastabove that.
At least above that which means this Fibonacci, out the window, this Fibonacci, out the window, this Fibonacci, out the window.
We need to monitor this level and see whathappens there.
What happens there? So, any of these areas if you sell from, youcan be assured it might bounce, but you're going to get a stop loss.
If you enter here it might bounce, but you'regoing to get a stop loss.
So, how do you know when the odds are in yourfavor? You need to start thinking in terms of priceaction, where the big boys are there with you.
Does that make sense? Everyone got that now, when we repeat it acouple times? Franz you're saying, “Insights are just crazy.
” I'm glad you like it, good, good, use it.
Don't just admire it, use it.
Starting today, get onto your charts, lookfor this kind of stuff, get better, improve yourself.
This is what we're here for.
Chris you're saying, “Yeah, I understand fullynow.
” Great, great, okay.
So, let's move on, let's move on.
This is something that we can monitor andbe like, “Is this done yet?” Look at all these sells, 50% sellers, they'regoing to come into trouble.
That's a 50% area.
They sold, and everyone who's in Fibonacciis doing this, “I knew it.
You see, I knew it.
” They're going to get onto every forum, everyForex factory, every, I don't know what other website, T2W or whatever and they're goingto say, “You see, look what I said.
And as I said, it happened therefore, I amking.
” Good for you man, good for you.
But is it the correct way for me to do itover, and over, and over, and over, and over again? If that is not the case, there is no suchthing as a good prediction.
It doesn't matter, everyone can get lucky.
So, what we're waiting for is, we know thatthis price range is most likely not a good price range.
We need prices to get up to here at leastbefore we can start admiring that the big boys will return.
Which big boy? That guy, that guy who was bleeding this wholetime.
Will he come back to life? That is the question.
Will he come back to life? If around the 50% area we start going sideways, the range, the range, the range, things might turn.
That's a whole different story.
Things can turn if you start getting thatrange, range, range, sideways, sideways, sideways.
So far, so good? Next example? Next example, let's do that.
Let's move on.
Any specific pairs that you guys like thatyou're watching? Here's the nice question.
Kyriakos you're asking, “Why is he bleeding?” Think of it this way, think of it this way.
Here's what happens, once the market startsto roll over .
See, you guys all agree this is a downtrend? That's a downtrend right? Everyone can see it's a nice beautiful downtrend.
Let me move this up.
Everyone agrees this is a nice beautiful downtrend.
Along this downtrend, things slow down, theygo sideways.
But in this sideways, nobody is buying excepta larger player, nobody's buying.
Everyone in fact is thinking, “How can I sell? How can I sell? How can I sell? How can I sell? How can I sell?” Then it goes up a little bit more, stop lossesand they're like, “Oh man, it looks like it's not going down.
” They'll see a red candle show up, they'llsell it again, they'll sell it again.
So, more people are still selling and thenit goes up a little bit higher, the buyings begin, people start buying.
The neighbor starts buying it, uncle Johnstarts buying it, uncle Tim starts buying it.
And as they start buying it, everyone's like, “Oh my god, he bought it and he made money till here.
Why am I not making money from this? It's on the news, it's on every forum.
” Now the world piles in and says, “I want tobuy to, me to.
” Hashtag me to.
They want to buy, they want to be in on theaction.
So, as they start getting in on the action, there's a lot of buys coming in.
The whole public starts piling in to do thebuys because now it's obvious, the world can see it from their own eyes that it's a buy.
As they start buying, the big boys are like, “Whoa, now that there's a lot of buyers, I can sell to them, I can sell to them.
” So they start slowly, slowly, selling.
The world is still buying.
Remember, all the greedy people, “I want tobuy to, I want to buy to, ” and the big boys are like, “Yeah, yeah, keep buying.
Keep buying from me, no problem.
” “I want to buy to, I want to buy to.
” “Yeah, no problem man, keep buying.
No problem, keep doing it.
” “Oh man, it looks like my buys aren't working.
” “Oh yeah, I want to buy to, I want to buyto.
” Now at this stage, notice how big I drew myarrow on purpose because when that shocking candle happens, the world panics and says, that's the buy.
Buy it double, buy it triple, buy it quadruple, because now it's working.
That's what I was waiting for.
Once that happens, the big boy and smarterindividuals, they start hitting it.
So there's a big boys money, there's institutions, there's hedge funds, there's pro traders, all of these people start hitting the selland then the prices get offset.
There's not enough buyers compared to theseller because they're all try to profit from this now and as that happens, the big boy'slike, “Oh no, I didn't fill all my orders you monkeys.
I didn't fill all my order, ” so he startsbleeding.
The prices just start running away.
He starts bleeding and he's like, “Oh my goodness, I can't .
” So as much as the sellers are making money, the big boy's like, “God dammit you monkeys, I can't believe you guys sold it really, reallyhard.
You're ruining the business.
” The further it goes down, the more peoplesell.
The further it goes down, the more peoplesell but the big boy is like, “I don't want to sell, put on the brakes.
” He will remove his cell positions, and that'swhen your pullback comes back in and you're thinking one question, “Will he come back? Will he come back?” If you cannot answer that question, then whateveryou do in that trading is just a guess, it is just a guess.
So far, so good? That's the idea behind why he's bleeding.
That was a very good question actually.
That's why he's bleeding, so he wants to stopthat.
While anyone who's on the sell, they're thinking, “Hold on to the sell, we're going to make a killing from this.
” The further that sell goes, the more dangerousit gets and no one sells because everyone was buying, everyone was buying.
Some people selling, some people selling, more people selling, more people selling, most people selling.
That's how the market works.
That's how the market works.
It's just the same thing over, and over, andover, and over, and over again.
It is not the big boys trying to rip you offand steal your money, it's just how the market is.
The people get attracted to sudden movements, while the big boy gets pissed off at sudden movements.
He doesn't like it.
Strange, isn't it? How many of you guys have seen the marketthat way and have been taught to look at the markets that way, in a more logical and accuratefashion rather than just guessing, oh a downtrend, that's your friend? Does that make sense? Okay, so once the bleeding happens, you wantto know when he stops the bleeding and then if he's going to come back.
And if he comes back, you want to get in withhim.
You want to allow him the time to create thatrainbow arch, for him to get back in.
Cool? All right, let's do one more example, let'sdo one more example.
I don't know .
What kind of charts did youguys say? Some of you guys said pound-yen, gold, pound-USD, pound-yen.
Okay, some of you guys are saying pound-yen? A lot of you guys are saying pound-yen, please.
Okay, let me just open up a pound-yen then.
It seems like that was the first one I saw, pound-yen or pound-USD.
Apologize, I'll just use one of them.
Okay, let's take a look.
Let's go to the current market.
We're going to use the entire knowledge youhave up until now.
So, markets, I'm on a 15 minute chart.
Without even going into any other timeframe, we're going to look at this time frame alone.
All right, here we go.
If we want to draw, we want to know what isour bottom, and then what is our top.
So, the markets were going down here, down, down, down, down, down, down, down, popped up quickly.
That's not my bottom.
He's put in the low, but it's not our bottom.
Is my face interrupting that thing? You guys can see the X right? Let me just .
There we go.
That's why it was there.
I'm going to put my face back, okay.
So, now it goes sideways, sideways, sideways, sideways, sideways, sideways, and then it pops upwards.
Boom, that's our bottom.
We can draw the bottom of our Fibonacci fromthere.
That's our bottom.
He goes up, goes up, goes up, puts in thehigh and says, he-ha.
Gets up to there, turns around.
Where's my transition? That cannot be my top.
He's put in a high, but he hasn't put in atop.
There is no rainbow arch.
That's not it.
So, whoever was buying from here is stillbuying technically, he's still buying.
However, red candles came in sharply.
No problem, it's still a buy.
No problem, it's still a buy.
” The buys are going up, they come down again.
The buys are going up, and then they startcoming down again.
The buys are going up, they're coming downagain.
Now he's starting to go down very, very quicklyone more time, and then he goes back up.
Now, this whole process, this whole process, no sideways action.
Four candles until it reaches here, and hedoes this sideways action.
Hold, hold, hold, hold, hold, hold, hold.
Can I draw my line here and ask you guys onequestion? Do you think that was a higher high technicallyper se, or is that just a fake out, move up and comes right back in? If that is a fake out move that goes up andcomes right back in, you need to observe.
If this is the bottom, he put in a high, heput in a high, he rolled over which means if I draw it from here to that high there, that's my drawing.
If I draw from there to there, I know fora fact that this price where the big boy was buying from was not enough for him.
So, anytime the market comes down, you can'tuse this area, you can't use this area, you can't use this area.
You have to use all the areas below this price, so you can either observe here, maximum you can observe here because now we're gettingbeyond this area of the big boy.
Does that make sense? But, it will help you avoid getting in toosoon.
If you have limit buy orders here, you'rein trouble, you're going to get in trouble.
That's going to be immediate stop losses, stop losses, stop losses along the way.
Doesn't matter how many times you try.
Does that make sense? So, this price right here that they were buyingfrom was unable to logically make a higher high.
If it was unable to make a higher high, thatmeans we need something better than this price for this fella who was bleeding.
We need something better than that price, so we need prices to come down.
So, all the Fibonacci numbers along the waythat is not below this is useless, is troublesome.
Does that make sense? All of this knowledge that you have rightnow comes from price action.
I'm using price action knowledge to help yoube better at knowing when you can use Fibonacci and when you cannot use Fibonacci.
Don't get me wrong, we all respect Fibonacci.
It is a universal number and it is a wonderfuldiscovery.
Does that discovery help you? We can respect it as much as we want, butlet's not get our eyes off of what we need to do.
Okay, Please do not forget that.
Everyone keeps getting attracted to somethingcool and does not forget the bottom line and why you're trading to begin with.
So, make sure you get better by day.
Now, everything that I've taught you fromthe price action techniques, we discuss it very, very thoroughly in our Mastering PriceAction course.
For those of you guys who do not have theMastering Price action course, it is a seven week long course.
We go over it week after week teaching guyswhat to do, how to look at the markets, how to understand what you can do so you can stopyour bleeding and increase your journey to become a better trader with more knowledge, more tools behind your back to tell you, “Wait, don't do this here, you can do that here.
” This makes a huge difference.
So, they're a seven weeks long course.
Each week I give you enough time for you topractice the material, ask my team whatever questions you have.
We have 24/7 support practically.
You ask a question, we answer.
We reply within three hours, but we're knownto do that within 10 minutes.
Some of the guys will swear by it, that we'revery fast, we're very good.
We're one of the highest rated courses aswell and on top of all of that, it comes with a 30 day money back guarantee.
Now, you can pick up the course using Urbydown here on urbanforex.
If you guys are on YouTube, you guys can usethe links below YouTube, or you can head on over to urbanforex.
com and pick it up.
Just as a special for this webinar, for thefirst 20 people, we're also giving away a 20% discount for the course.
You are able to pick it up for a 20% discount, and that means it's less than $200.
The courses for yours to keep.
It is unlimited, it is on-demand, it doesnot expire, and there is no recurring charges.
It is a one time investment for yourself.
You're going to love the course and everythingwill get easier, and easier, and easier.
All right guys, I hope everything you've learnedtoday was absolutely worth it.
Please do not become a webinar junkie.
Learn from it, take notes, go back to yourcharts, watch it, research, get better, and build a better tomorrow for you guys.
That's a promise that we do at Urbanforex, and I hope you guys keep the same promise.
Thanks a lot guys.
It was wonderful to have you guys, I'll seeyou guys in two weeks.
For those of you guys who are joining thecourse, I'll see you guys in the course.
Cheers guys, thanks for coming in.
Until next time, bye for now.